HBA-AMW, CCH H.B. 678 77(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 678
By: McCall
Business & Industry
7/19/2001
Enrolled



BACKGROUND AND PURPOSE 

It is foreseeable that transactions that now require a password or some
other form of identification will utilize biometric technology in the
future.  Biometric technology is considered by some as the ultimate
identifier.  House Bill 678 protects the confidentiality of biometric
information of an individual by prohibiting the sale, lease, or disclosure
of the information.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 678 amends the Business & Commerce and Government codes relating
to the  capture and use of a biometric identifier, which is a retina or
iris scan, fingerprint, voiceprint, or record of hand or face geometry.
The bill prohibits a person from capturing a biometric identifier of an
individual for a commercial purpose without informed consent.  The bill
also prohibits a person or governmental body from selling, leasing, or
disclosing a biometric identifier unless the individual consents, the
disclosure completes a financial transaction requested or authorized by the
individual, the disclosure is required or permitted by a federal or state
statute, or the disclosure is made for law enforcement purposes.   

A person or governmental body is required to store, transmit, and protect
the biometric identifier from disclosure using reasonable care and a manner
that is at least as protective as other confidential information. The bill
provides that a person who violates these provisions is subject to a civil
penalty of not more than $25,000 that the attorney general is authorized to
recover.  A governmental body that possesses a biometric identifier is
exempt from disclosure under the public information law. 

EFFECTIVE DATE

September 1, 2001.